by Brad Hawkins, 12th District state Senator
Balancing the state operating budget could be a challenge. As a result of past increased spending and reduced revenue, state economists are forecasting a projected budget deficit of nearly $3 billion. This deficit is much less than what was previously expected but it could grow larger if the state economy is impacted again by recent COVID restrictions.
While the current projected deficit is certainly bad news, the $3 billion figure is actually based on a four-year budget projection, impacting a four-year budget equivalent of over $100 billion. By utilizing the state’s $2 billion Budget Stabilization Account – often referred to as the “rainy day fund” – and making some measured and modest reductions in programs, I believe lawmakers can achieve a balanced budget without tax increases.
Legislators will likely agree to the use of our Budget Stabilization Account, but I predict the big fight to be over whether budget reductions – or new taxes – make up the remaining difference.
Whether Governor Inslee will be the one to sign our final budget is another issue as well. If he is indeed selected for a position in the Biden administration, then the governor’s duties will temporarily fall to newly elected Lieutenant Governor Denny Heck. This is, of course, until a new governor is elected – likely in November 2021 – in what could very well involve a battle royal of multiple officials to fulfill the remaining three years of Governor Inslee’s four-year term.
Brad Hawkins, senbradhawkins@updates.leg.wa.gov
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